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Goldman Sachs expects the Fed to raise interest rates 5 times this year

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[Goldman Sachs expects the Fed to raise interest rates 5 times this year and announces that it will start shrinking its balance sheet in June]According to a research report by Goldman Sachs analysts late Friday, Goldman Sachs predicts that the Fed will raise interest rates 5 times in 2022, higher than the previous 4 times. expected, and is expected to start operations in March. Analysts at Goldman Sachs said they expect the Fed to hike rates in March and May, announce in June that it will begin shrinking its balance sheet, then follow up with hikes in July and September, and resume quarterly hikes in the fourth quarter. rate and raise interest rates once in December to 1.25%-1.5% by the end of the year. (Interface News)

Reuters reported on January 29, according toGoldman Sachsanalystone late fridayResearch reportGoldman SachsThe Fed is forecast to raise interest rates five times in 2022, higher than the previous forecast of four, and is expected to start action in March.

  Goldman SachsAnalysts David Mericle and Jan Hatzius said in a report that they expect the Fed to raise interest rates in March and May, announce in June that it will begin shrinking its balance sheet, and then hike rates in July and September.They then expect the Fed to resume a quarterly pace of rate hikes in the fourth quarter, with one hike in December and one by the end of the yearinterest rateWill reach 1.25%-1.5%.

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The analysts said they raised their inflation path forecasts following this week’s data, adding that “Fed Chair Jerome Powell’s remarks earlier in the week made it clear that the Fed leadership is open to a more aggressive pace of tightening.” .

Goldman Sachs said it still expects three rate hikes in 2023, and expects the Fed to reach a final rate of 2.5%-2.75% in 2024interest rate

  

(Article source: Interface News)

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